Amul Distribution Channel and Sales Project

Download as docx, pdf, or txt
Download as docx, pdf, or txt
You are on page 1of 100

TABLE OF CONTENTS

1. Certificate.

2. Acknowledgement.

3. Overview Of The Company.

4. Executive Summary.

5. Objective of the Study.

6. Research Methodology.

7. Product Range.

8. Distribution Network.

9. Overview Of The GCMMF

10. Info Flash GCMMF.

11. Management At Amul.

12. Marketing of Amul Ice Cream.

13. SWOT Analysis.

14. Graphics.

15. Findings.

16. Recommendations.

17. Bibliography.

18. Conclusion.

19. Questionnaire.

1
A

PROJECT REPORT

ON

“STUDY OF DISTRIBUTION CHANNEL


& SALES ` OF AMUL ICE CREAM
AT NOIDA”

as required for the partial


fulfillment of the degree of
BACHELOR OF BUSINESS
ADMINISTRATION
(B.B.A.)

SESSION (JULY 2015 –April


2016)

UNDER THE
Project Guide :
SUBMITTED BY :
Mr. Akhilesh Gupta AKASH SAINI
No.1305014581 B.B.A 6 Sem.
Roll

Sikkim Manipal
University, Agra.
2015-2016
SIKKIM MANIPAL UNIVERSITY,
AGRA.

TO WHOM IT MAY CONCERN

This is to certify that Mr. Akash Saini has


completed the project report titled “Analysis of
Distribution Network Effectiveness & Sales of Amul
Ice-cream at Noida” under my guidance in partial
fulfillment of the BACHELOR OF BUSINESS
ADMINISTRATION.

To, the Best of my Knowledge, the same has not


been submitted in any other University/ Institute
for the purpose of pursuing any other professional
Degree/ Diploma Course.

Project Guide : Mr. Akhilesh Gupta

Date:

Place:
Seal
of the Directors/Dean

DECLARATION

I here by declare that this project report submitted


to SIKKIM MANIPAL UNIVERSITY AGRA in Partial
fulfillment of the Bachelor of Business
Administration on Analysis of Distribution Network
Effectiveness & sales of Amul Ice-cream at Noida”
is the outcome of my own work.

AKASH
SAINI
B.B.A.6 Sem.

ACKNOWLEDGEMENT

The feeling of gratitude when expressed in words


is only half its acknowledgement. Expressions fail
to produce ours over whelming sense of
gratitude, devotion, and contestable regards to
our project coordinator ‘MR. AKHILESH GUPTA for
his valuable guidance, inspiring suggestions and
refreshing encouragement which was a driving
force for the successful completion of this project
work. Without his meticulous planning, incisive
thinking
and cogent advice, this project would not have
assumed the form, it is in today.

AKASH SAINI

B.B.A. 6
Sem.

OVERVIEW
OF
AMUL INDIA

The Amul
India Story:
Ruth Herediya

7
"So persevere, if necessary. For success attends only
those who persevere, who see their goal steadily and aim
for it unswervingly... who persevere with dedication and
faith in the cause they are fighting for..."

The author, Ruth Heredia's connection with Amul dates


back to the inauguration of the Amul Dairy when, aged
four, she presented a bouquet to the guest of honour,
Pandit Jawaharlal Nehru. She and her family have
sampled the taste of Amul Condensed Milk and Amul
Cheese through their various progressive stages.

Ms Heredia is an occasional writer, and sometimes


lectures on her favourite subjects: music, literature and
history. She has a post graduate degree in English, has
been a librarian, loves animals (especially dogs), and
enjoys a good movie or a tennis match.

The Amul India Story is a stimulating excursion into a


dream that is now reality. Blessed with the vision of
Sardar Vallabhbhai Patel, a patriot, the book traces the
birth of a small movement in Gujarat, the Kaira District
Cooperative Milk Producer's Union and its evolution into a
fantastic new paradigm of development. A fast-paced
narrative, laced with several fascinating anecdotes, the
book chronicles the daring initiatives and dynamism
displayed by a team of committed individuals -
a farmer, Tribhuvandas
anticipation...Patel, a professional manager, V.Kurien and
a technologist, H.M.Dalaya. This is a story of faith,
empowerment, and dream realization, with all the
elements that make a story more interesting - passion,
humour and the thrill of
8
Gujarat Co-operative Milk Marketing Federation Ltd.
(GCMMF) is an India’s largest food product marketing
organization. It is a state level apex body of

milk co-operatives in Gujrat.which aims to provide


remunerative returns to the farmers and also serve the
interests of consumers by providing quality products,
which are good value for money.

Members: 12 districts co-operative milk producer union.


No. of producer members: 2.5million.
No. of Village societies: 11,962.
Total milk handling capacity: 9.91 million liters per day.
Milk collection total (1999-00): 2.28 billion liters.
Milk collection daily (1999-00): 6.3 million liters.
Milk Drying Capacity: 511 metric Tons per day.
Cattlefeed manufacturing Capacity:2340 Mts per

day. Sales Turnover Rs. (million) US $ (in million).

1994-95 11,140 355


1995-96 13,790 400
1996-97 15,540 450
1997-98 18,840 455
1998-99 22,192 493
1999-00 22,185 493
2000-01 22,588 500
2001-02 23,365 500
2002-03 27,457 575
2003-04 28,941 616
2004-05 29,225 672
2005-06 37,736 850
AMUL TOPICAL STORY

Amul Butter Girl

Edited from an article by Mini Varma published in The


Asian Age on March 3, 1996

The moppet who put Amul on India's breakfast


table

50 years after it was first launched, Amul's sale figures


have jumped from 1000 tonnes a year in 1966 to over
25,000 tonnes a year in 1997. No other brand comes
even close to it. All because a thumb-sized girl climbed on
to the hoardings and put a spell on the masses.

Bombay: Summer of 1967. A Charni Road flat. Mrs.


Sheela Mane, a 28-year-old housewife is out in the balcony
drying clothes. From her second floor flat she can see her
neighbours on the road. There are other people too. The
crowd seems to be growing larger by the minute. Unable
to curb her curiosity Sheela Mane hurries down to see
what all the commotion is about. She expects the worst but
can see no signs of an accident. It is her four-year-old who
draws her attention to the hoarding that has come up
overnight. "It was the first Amul hoarding that was put up
in Mumbai," recalls Sheela Mane. "People loved it. I
remember it was our favourite topic of discussion for the
next one week! Everywhere we went somehow or the
other the campaign always seemed to crop up in our
conversation."
Call her the Friday to Friday star. Round eyed, chubby
cheeked, winking at you, from strategically placed
hoardings at many traffic lights. She is the Amul moppet
everyone loves to love (including prickly votaries of the
Shiv Sena and BJP). How often have we stopped, looked,
chuckled at the Amul hoarding that casts her sometime as
the coy, shy Madhuri, a bold sensuous Urmila or simply as
herself, dressed in her little polka dotted dress and a red
and white bow, holding out her favourite packet of butter.

For 30 odd years the Utterly Butterly girl has managed to


keep her fan following intact. So much so that the ads are
now ready to enter the Guinness Book of World
Records for being the longest running campaign ever.
The ultimate compliment to the butter came when a
British company launched a butter and called it Utterly
Butterly, last year.

It all began in 1966 when Sylvester daCunha, then the


managing director of the advertising agency, ASP,
clinched the account for Amul butter. The butter, which
had been launched in 1945, had a staid, boring image,
primarily because the earlier advertising agency which
was in charge of the account preferred to stick to routine,
corporate ads.
One of the first Amul hoardings
In India, food was something one couldn't afford to fool
around with. It had been taken too seriously, for too long.
Sylvester daCunha decided it was time for a change of
image.

The year Sylvester daCunha took over the account, the


country saw the birth of a campaign whose charm has
endured fickle public opinion, gimmickry and all else.

The Amul girl who lends herself so completely to Amul


butter, created as a rival to the Polson butter girl. This one
was sexy, village belle, clothed in a tantalising choli all but
covering her upper regions. "Eustace Fernandez (the art
director) and I decided that we needed a girl who would
worm her way into a housewife's heart. And who better
than a little girl?" says Sylvester daCunha. And so it came
about that the famous Amul Moppet was born.

That October, lamp kiosks and the bus sites of the city
were splashed with the moppet on a horse. The baseline
simply said, Thoroughbread, Utterly Butterly Delicious
Amul,. It was a matter of just a few hours before the
daCunha office was ringing with calls. Not just adults,
even children were calling up to say how much they had
liked the ads. "The response was phenomenal," recalls
Sylvester daCunha. "We knew our campaign was going to
be successful."
The Rebecca Mark favorite

For the first one year the ads made statements of some
kind or the other but they had not yet acquired the topical
tone. In 1967, Sylvester decided that giving the ads a
solid concept would give them extra mileage, more dum,
so to say. It was a decision that would stand the
daCunhas in good stead in the years to come.

In 1969, when the city first saw the beginning of the Hare
Rama Hare Krishna movement, Sylvester daCunha,
Mohammad Khan and Usha Bandarkar, then the creative
team working on the Amul account came up with a
clincher -- 'Hurry Amul, Hurry Hurry'. Bombay reacted to
the ad with a fervour that was almost as devout as the
Iskon fever.

That was the first of the many topical ads that were in the
offing. From then on Amul began playing the role of a
social observer. Over the years the campaign acquired
that all important Amul touch.

India looked forward to Amul's evocative humour. If the


Naxalite movement was the happening thing in Calcutta,
Amul would be up there on the hoardings saying, "Bread
without Amul Butter, cholbe na cholbe na (won't do,
won't do). If there was an Indian Airlines strike Amul
would be there again saying, Indian Airlines Won't Fly
Without Amul.
There are stories about the butter that people like to relate
over cups of tea. "For over 10 years I have been collecting
Amul ads. I especially like the ads on the backs of the
butter packets, "says Mrs. Sumona Varma. What does she
do with these ads? "I have made an album of them to
amuse my grandchildren," she laughs. "They are almost
part of our culture, aren't they? My grandchildren are
already beginning to realise that these ads are not just a
source of amusement. They make them aware of what is
happening around them."

Despite some of the negative reactions that the ads have


got, DaCunhas have made it a policy not to play it safe.
There are numerous ads that are risque in tone.

"We had the option of being sweet and playing it safe, or


making an impact. A fine balance had to be struck. We
have a campaign that is strong enough to make a
statement. I didn't want the hoardings to be pleasant or
tame. They have to say something," says Rahul daCunha.

"We ran a couple of ads that created quite a furore," says


Sylvester daCunha. "The Indian Airlines one really
angered the authorities. They said if they didn't take
down the ads they would stop supplying Amul butter on
the plane. So ultimately we discontinued the ad," he says
laughing. Then there was the time when the Amul girl
was shown wearing the Gandhi cap. The high command
came down heavy on that one. The Gandhi cap was a
symbol of independence, they couldn't have anyone not
taking that seriously. So despite their reluctance the
hoardings were wiped clean. "Then there was an ad
during the Ganpati
festival which said, Ganpati Bappa More Ghya (Ganpati
Bappa take more). The Shiv Sena people said that if we
didn't do something about removing the ad they would
come and destroy our office. It is surprising how vigilant
the political forces are in this country. Even when the
Enron ads (Enr On Or Off) were running, Rebecca Mark
wrote to us saying how much she liked them."

Amul's point of view on the MR coffee controversy

There were other instances too. Heroine Addiction, Amul's


little joke on Hussain had the artist ringing the daCunhas
up to request them for a blow up of the ad. "He said that
he had seen the hoarding while passing through a small
district in UP. He said he had asked his assistant to take a
photograph of himself with the ad because he had found
it so funny," says Rahul daCunha in amused tones.
Indians do have a sense of humour, afterall.

From the Sixties to the Nineties, the Amul ads have come
a long way. While most people agree that the Amul ads
were at their peak in the Eighties they still maintain that
the Amul ads continue to tease a laughter out of them.

Where does Amul's magic actually lie? Many believe that


the charm lies in the catchy lines. That we laugh because
the humour is what anybody would enjoy. They don't
pander to your nationality or certain sentiments. It is pure
and simple, everyday fun.
EXECUTIVE SUMMARY

This Project Report Undertaken for Gujarat Co-


operative Milk Marketing Federation Ltd. To find out Sales
& Distribution Network of Amul Ice cream and margin
availability, quality, packaging and various problem of the
outlet holders. The survey for this purpose was conduct in
various areas covered by Amul (GCMMF) Ghaziabad.

The area given to me Urban and rural adjoining. This


was collect by various means general instruction and
questionnaire. Analyzing the collected data and reporting
the finding notification, and determining retailer
perception and summarized in project

Most of the retailer thinks that price is high and


service in consistence and delay in the supply is
complained also. But quality is undoubtedly good.
PROJECT OBJECTIVE

The basic objective of the project is to know about


the sales and Distribution Network in the market and to
know how their competitors are giving their services.
“Analysis of Distribution Network Effectiveness &
Sales of Amul Ice Cream at Noida”

The sub objectives are as follows:-


 To compare Amul existing Distribution network vis a
vis competitors
 To identifies the area of expansion of Amul
Distribution Network for the two product categories
 To asses effectiveness of existing brand input for all
three product categories i.e.
a) Advertising inputs
b) Availability of product
c) Pricing pattern
d) Schemes and margin
e) Quality of product
f) Service backup
g) Credit term
h) Other dealer feedback
 To compile Amuls display share and self space
 To study the potential of dealer and to know whether
their potential is fully utilized .

The market survey was focused upon Distribution


Network and importance of sales promotion. Today’s
emphasis giving on the importance of monitoring
marketing environment to keep product and marketing
practices current but how can management learn about
changing customer wants, new competitors initiative,
changing distribution channel and so on. The answer is
clear: Management must develop and manage
information. Three developments make the need for
marketing information grater now than at any time in the
past; the rise of global marketing the new emphasis on
the buyer’s wants and the trends non price competitions.

“To manage a business well is to manage its future and


to manage the future is to manage information.”

Important insight can be gained by studying the


experiences of other and assessing the adequacy of
ones own service features and performance.
Human nature encourages people to reflect
positively in the organization with which they work.
Naturally people want to validate their efforts frequently.
The need
for Amul to undertake this exercise was to compare its
performance with the competitors to evaluate its
standard. This could provide for company with a jump
on its competitors, as the company can carefully
evaluate its opportunities and choose its target markets
to maximize profit.
SCOPE OF THE PROJECT

EXTENTS:-

By doing audit of retail outlet one can access the


potential of dealers. This is a powerful business tool
because it can be applied to virtually every function of the
company whether it is regarding the potential are
feedback.

Moreover, frontline manager can use it in many new and


creative ways.

Some applications include:


1. Strategic planning and good setting.
2. Marketing performance comparisons and
evaluation.
3. Idea enrichment.
4. Problem solving.
5. Implementation.
BENEFITS:-

1. Gives exposure to new ideas.


2. Proper use of Advertisements and Sales Promotion
activities.
3. Information about the competitor’s price pattern.
4. Helpful to know about other dealer’s feedback
5. Record of new product introduction.
6. Show the present market share of the company.
7. Assesses the potential of dealers and whether it is
fully utilized or not.
8. Feedback on dealer’s satisfaction with regard to the
product range, availability, quality and consumer
pricing.
9. Communication channel from root level to the top
management.

LIMITATIONS

1. Dealers were not ready to divulge direct information


regarding their sales and turnover. They keep it as a trade
secret.
2. Getting information was a difficult task and limited to
an extent.
3. Sampling error is not taking into account.
4. While asking respondents to the rate a brand on
specific attributes, possibilities of “Carryover effect” and
backfire effect cannot be ruled out.
5. Some of the dealers refused cooperates
6. Possibilities of some dealer’s biased or dishonest
answers cannot be ruled out.
SALES PROMOTION

Sales promotion is the media and non-media


marketing effort applied for a predetermined, limited
period at the level of consumer or intermediaries in order
to

1. Increase Consumer demand.


2. Improve Product availability.

Sales promotion does have their drawbacks. They are


short lived.

3. Marketers may also find it difficult to limit the sales


promotion to a target market.
4. Another challenge with sales promotion is making
comparisons among the competitor’s activities because
sales promotion takes many different forms from a
trade show exhibit to banner flying behind on aero
plane to down warning people in the shopping mall.
5. A frequent concern about sales promotion is that
because many involve a short term price break, they
erode brand loyalty by encouraging customer to make
selection based on price. This vies as supported by a
drop in customer brand loyalty over last decade, just
when price related were assuming major role.
6. On the other hand sales promotion tends to garner
quick result s in most cases much faster than
advertising. And just as uniqueness of sales promotion
may fin difficult to being down for evolution, it can also
lead to enormous success imprinting the products
name in the customer mind. Entrepreneurs who are
creative by nature can make valuable use of sales
promotion of tight budget.

TYPES OF SALES PROMOTION

They are usually consumer oriented and trade oriented.

CONSUMER ORIENTED PROMOTION:-

They are those types of sales promotion in which the


consumer is targeted.

Techniques for consumer sales promotion:


Coupons -Stimulate demand through a
temporary price cuts.
-encourage retailer support.

Deals - Stimulate demand through a


temporary price cuts.
Premiums -Attract new customers.

-build goodwill.
Contest and sweepstakes -Build awareness and sales
of product.

Samples -Encourages product trials by


the risk to consumers.
-Especially useful for new, low
cost and frequently purchased
products.

Point of Purchase Displays -Increase trials and sales by


drawing attention to the product
-Educate consumers about the
product.
-Especially useful for
convenience goods and pulse
purchase
Rebates -Encourage sales through a price
cut.
TRADE ORIENTED PROMOTION

Sales promotion that are directed towards wholesalers


and retailers. In the market which is basically wholesalers
and retailers oriented such type sales promotion will be
very beneficial these are the follows.

ALLOWANCES:

1-A merchandise allowance to retailers for featuring


product predominantly.

2-A case allowance which is straight discount on case of


product ordered by retailers and wholesalers.

3- finance allowances which cover expenses related to


consumer promotion.

4- Slotting allowance is in exchange for adding a new


product to the retailer shelves. The nature, quality and
timings of allowances are often a matter to industry
practice.

5- Cooperative Advertising and Sales support


Marketers may also engage in cooperative advertising will
retailer & train distributors sales to sales the product more
effectively.
TRADE SHOW

Usually trade shows from a bridge between marketers


and customers. They bring customers and marketers in
the location over short period of time usually three to four
days.

According to trade shows bureau (t.s.b.) customer


attends these events for two reasons:
1- To update their knowledge in field.
2- To shop for the goods and services they need.

SALES
During the year, your federations sales increased by
18% from Rs. 1883.58 crore to Rs. 2219.23 crore,
including consignment sale of Rs 407.93 crore. Dairy
product turnover registered a robust growth of 20%. In
addition your federation coordinated Rs. 24.1 crore in
product sales to defenses service. This year amul butter
registered record sales with Rupee turnover growing by
15%. The sales value of amulya has registered impressive
growth with an increase of 12%. Sales of Amul milk in
Gujarat has increased by 21% in value terms. Amul
cheese sales value has increased by a spectacular 15%
over the
previous year. Despite a decline in the milk powder
market due to adequate availability of liquid milk in most
parts of the country, we substantially increased sales by
18%, a testimony to its quality.

ONLINE PROMOTION

Welcome to Amul's very own Ice Cream Shop on


the web!!
Stop a while and browse throught the many
delicious flavours we have here. Amul icecream Real
Milk Real Ice cream Made from fresh milk India's No.1 ice
cream

NUT-O-MANIA - (Click to see!)


 KAJU DRAKSH  KESAR PISTA ROYALE
 ROASTED
ALMONDFRUIT  FRUIT BONANZA
BONANZA
NATURE'S TREAT - (Click to see!)
 ALPHONSO MANGO  FRESH LITCHI
 SHAHI ANJIR  FRESH STRAWBERRY
 BLACK CURRANT  FRESH PINEAPPLE
 SANTRA MANTRA
UTSAV - (Click to see!)

 ANJIR  ROASTED ALMOND

UTTERLY DELICIOUS - (Click to see!)


 VANILLA  STRAWBERRY
 CHOCOLATE  CHOCOCHIPS

 CAKE MAGIC

ROYAL TREAT - (Click to see!)

 BUTTERSCOTCH  RAJBHOG
 MALAI KULFI

SUNDAES - (Click to see!)

 MANGO  DOUBLE SUNDAE


 BLACKCURRANT  SUNDAE MAGIC

ASSORTED TREATS - (Click to see!)

 CHOCOBAR  FROSTIK
 FROSTIK  TRICONE
 DOLLIES  CHOCOCRUNCH
 ICE CANDIES  MEGABITE
CYBER STORE

As a first step towards ECommerce in India, Amul is


delighted to offer you the cyber shopping experience with
a wide range of Amul dairy products in all major cities of
India.

You can order your favourite Amul Icecreams at the new


Amul Icecream Cyberstore.

The "Taste of India" is now a few clicks away from your


doorstep...

Note: Please "Select" the item you wish to order, then


enter the quantity (No. of Units required). The total price
for the item will be automatically calculated. Once you are
done, you can click on the "Calculate Total" button. Then,
enter the order information, and click on the "Place
Order" button. Detailed Terms and Conditions are given
below (at the end).

For Amul products in other countries, please check our


Exports Page. Amul products are available in US, Gulf
Countries and Singapore.

Applicable Prices
Sr No. Select Product

1 Amul Butter
2 Amul Butter
3 Delicious Table Margarine
4 Amul Lite Lowfat Breadspread
5 Amul Cheese
6 Amul Cheese Slices
7 Amul Cheese Slices
8 Amul Cheese Chiplets
9 Amul Cheese
10 Amul Cheese Spread
11 Amul Pizza Cheese
12 Amul Emmental Cheese
13 Amul Malai Paneer
14 Amul Malai Paneer
15 Amul Malai Paneer
16 Amul Pure Ghee
17 Amul Pure Ghee
18 Amul Pure Ghee
19 Amul Pure Ghee
20 Sagar Pure Ghee
21 Sagar Pure Ghee
22 Sagar Pure Ghee
23 Sagar Pure Ghee
24 Amul Shrikhand
25 Amul Shrikhand
26 Amul Shrikhand
27 Amul Shrikhand
28 Amul Shrikhand (Mango/Kesar/Badam Pista)
29 Amul Shrikhand
30 Amul Shrikhand
31 Amul Kool scoop Shrikhand
32 Amrakhand
33 Amrakhand
34 Amul Mithaee Gulabjamun
35 Amul Mithaee Gulabjamun
36 Nutramul
37 Amul Chocolates
38 Amul Chocolates
39 Amul Almondbar
40 Amul Chocolates - Bindaaz
41 Amul Chocolates - Fundoo
42 Amul Chocolates - Fundoo
43 Amul Chocozoo
44 Amul Chocozoo Tub
45 Amul Tazza Milk
46 Amul Shakti Toned Milk
47 Amul Gold Milk
48 Amul Lite Slim-n-Trim Milk
49 Mithaimate Sweetened Condensed Milk
50 Amulspray IMF
51 Amulspray IMF
52 Amulspray IMF
53 Amulspray IMF
54 Amulspray IMF
55 Amulspray IMF
56 Sagar Skimmed Milk Powder
57 Amulya Dairy Whitener
58 Amulya Dairy Whitener
59 Amulya Dairy Whitener
60 Amulya Dairy Whitener
61 Amul Shakti Health Food Drink (Kesa Almond)
62 Amul Shakti Health Food Drink (Kesa Almond)
63 Amul Kool Flavoured Milk
Amul Kool64Flavoured Milk
Amul Kool65Flavoured Milk Amul Kool Café
Amul Kool66Café Amul Kool Café Amul Fresh Cream Amul Fresh Cream Amul Fresh Cream Amul Fres
Amul Masti
67 Spiced Butter milk Amul Masti Spiced Butter milk
Amul Masti
68 Spiced Butter milk
69
70
71
72
73
74
75

Total

RESEARCH METHODOLOGY
Research Design:-
Data Sources - Primary, Secondary
Research Approach - Observation &
Survey Research Instrument - Questionnaire
Sampling Unit - Whole universe
Contact Method - Personnel
Data Collection Sources:-
The data collection has been completed by gathering
data from primary as well as secondary sources. The data
collected is very direct and secretive to the organization
(i.e. information about credit terms and annual turn over).
Lot of respondents do not divulge with such information,
so due to this facts secondary data will also have to be
considered and referred to:
A. Primary Data
Primary data collection was carried out by directly
interviewing to be owner or managerial level people in the
target outlets. The approaches or collection were.
a. Survey:
Survey was carried out in the target outlets to
collect fast hand information while interviewing.
b. Observation:
While interviewing the respondent was
observed and all additional information was
jotted down which did not from part of the
questionnaire.
B. Secondary Data
a) Internal: Internal sources include Company profile
and sales figures
b) External: 1. Government Publication
2. Journals, periodical and books
- Business Today- Economics Times
- Hindustan Times
- Times of India -Marketing Management by
Philip Kotler
3. Reports: Annual reports of Amul Ice Cream.

DATA COLLECTION METHODS

Out of the various method of the data collection,


personal interview (face to face) is the best method as
there is a greater percentage of response from
interviewer
side. The questionnaire was designed in such manner that
each and every relevant information, which was relevant
for the company and for my project, was present in it
with accuracy and completeness every step has been
taken to make the questionnaire in a simplest manner.

Following are the reasons for which personal interview


was selected.

1- Clear comprehensions of questions can be given to


respondent.
2- The responses can be simulated through greater
introspection, plumbing of memory.
3- Instructions can be on whets wanted and the manner of
responding.
4- After interviewing there were many questions, which
can be tested by examining the Ice Cream.

Field Work Planning;

The field works involves the following steps.


- Training and Education of the Investigator.
- Interviewing and collection of data.
- Supervision
Sampling:
Sampling refers to the procedure through which a
few units selected form the total population in accordance
with some specified procedure a sample. The sample
consists of all those retailers who are selling ice cream it
is amul or other brands in the market.
In the process of sampling to things which are important
had considered.
1. Sample Type
2. Sample Size
1. Sample Type: It refers to the approach of the
sampling, which is followed to determine a sample of
individuals.
2. Sample Size: The sample included all thousand
dealers/ retailers that are selling ice cream whether
Amu8l Brand or other brands.
I was asked to survey the market share of Amul ice
cream in Noida and their comparative study

Limitation of Data:

1. Sample size is very small as compared to the


universe due to time and resources.

These might be some biases unwillingness of the


respondents, while given responses.
PRODUCTS RANGE

Today Amul is a symbol of many things of high


quality products sold at reasonable price of the genesis
of a vast co-operative network of the triumph of
indigenous technology of the marketing savvy of a
farmers organization and of a proven model for daily
development AMUL means “Priceless” in Sanskrit. The
Brand name “Amul” from the Sanskrit “Amoolya” was
suggested by a quality control export in Anand.
Variants, all meaning “Priceless” are founded in several
Indian languages. Amul Butter, Amul Milk powder,
Amul Ghee, Amul Spray, Aul Cheese, Amul Chocolates,
Amul Shrikhand, Amul Ice cream, Neutramul, Amul milk
and Amulya have made Amul a leading food brand in
India (Turnover Rs. 19.7 billion in 1999-00) : Today
Amul is a symbol of many things of high quality
products sold at reasonable prices of the genesis of a
Vast Co-operative network of the triumph of indigenous
technology of the marketing savvy of afarmer
organization and of proven model for daily
development.

List of Products Marketed:


Breadspreads:
 Amul Butter
 Amul Lite Low Fat Breadspread
 Amul Cooking Butter

Cheese Range:

 Amul Pasteurized Processed Cheddar Cheese


 Amul Processed Cheese Spread
 Amul Pizza (Mozarella) Cheese
 Amul Shredded Pizza Cheese
 Amul Emmental Cheese
 Amul Gouda Cheese
 Amul Malai Paneer (cottage cheese)
 Utterly Delicious Pizza

Mithaee Range (Ethnic sweets):

 Amul Shrikhand (Mango, Saffron, Almond Pistachio,


Cardamom)
 Amul Amrakhand
 Amul Mithaee Gulabjamuns
 Amul Mithaee Gulabjamun Mix
 Amul Mithaee Kulfi Mix
 Avsar Ladoos

UHT Milk Range:

 Amul Shakti 3% fat Milk


 Amul Taaza 1.5% fat Milk
 Amul Gold 4.5% fat Milk
 Amul Lite Slim-n-Trim Milk 0% fat milk
 Amul Shakti Toned Milk
 Amul Fresh Cream
 Amul Snowcap Softy Mix
Pure Ghee:

 Amul Pure Ghee


 Sagar Pure Ghee
 Amul Cow Ghee

Infant Milk Range:

 Amul Infant Milk Formula 1 (0-6 months)


 Amul Infant Milk Formula 2 ( 6 months above)
 Amulspray Infant Milk Food

Milk Powders:

 Amul Full Cream Milk Powder


 Amulya Dairy Whitener
 Sagar Skimmed Milk Powder
 Sagar Tea and Coffee Whitener

Sweetened Condensed Milk:

 Amul Mithaimate Sweetened Condensed Milk

Fresh Milk:

 Amul Taaza Toned Milk 3% fat


 Amul Gold Full Cream Milk 6% fat
 Amul Shakti Standardised Milk 4.5% fat
 Amul Slim & Trim Double Toned Milk 1.5% fat
 Amul Saathi Skimmed Milk 0% fat
 Amul Cow Milk
Curd Products:

 Yogi Sweetened Flavoured Dahi (Dessert)


 Amul Masti Dahi (fresh curd)
 Amul Masti Spiced Butter Milk
 Amul Lassee

Amul Icecreams:

 Royal Treat Range (Butterscotch, Rajbhog, Malai


Kulfi)
 Nut-o-Mania Range (Kaju Draksh, Kesar Pista
Royale, Fruit Bonanza, Roasted Almond)
 Nature's Treat (Alphanso Mango, Fresh Litchi, Shahi
Anjir, Fresh Strawberry, Black Currant, Santra
Mantra, Fresh Pineapple)
 Sundae Range (Mango, Black Currant, Sundae
Magic, Double Sundae)
 Assorted Treat (Chocobar, Dollies, Frostik, Ice
Candies, Tricone, Chococrunch, Megabite, Cassatta)
 Utterly Delicious (Vanila, Strawberry, Chocolate,
Chocochips, Cake Magic)

Chocolate & Confectionery:


 Amul Milk Chocolate
 Amul Fruit & Nut Chocolate

Brown Beverage:

 Nutramul Malted Milk Food

Milk Drink:

 Amul Kool Flavoured Milk (Mango, Strawberry,


Saffron, Cardamom, Rose, Chocolate)
 Amul Kool Cafe

Health Beverage:

 Amul Shakti White Milk Food

DISTRIBUTION CHANNELS:

Channels of distribution are the means by which


marketers get their products to the target market so
that they will convenient to buy. Channels of
distribution perform all the activities required to link
producer with users of products. Intermediaries are
separate business that specializes carrying out many of
the distribution function. This function may be of three
types:
Transactional, logistical, and facilitating.

Distribution Channels may be organized in a few


basic ways. Channels for consumer goods include direct
channels (direct marketing) in which products move
directly from producer to end user & others. Other
channels include those in which goods move from
producer to retailer to consumer, and from producer to
wholesaler to retailer to consumer. (This is the most
common). Finally goods may pass from producer to
Agents to wholesalers to retailers to consumers.
Distribution channels for the service and industrial
goods. Marketers may decide that variation on the
standard types of distribution are better suited to their
products and markets or even reverse channels to best
service their markets. Distribution channel may be
organized vertically or horizontally. A vertical market
system (VMS) is centrally managed and designed to
achieve efficiency with a maximum marketing impact.
Franchising another means by which the producers
sales directly to the consumers.

Managing the distribution channels is to a products


success. Marketer should select the channels based on
the characteristics of the target market, the
organizations marketing objectives, the nature of the
product itself, the intermediaries and the marketing
environment. The channel must be efficient and
provide the level of the coverage desired by the
product change in the market environment-Such as
regulation and economic climate are also key factors.
Conflicts between channels members may be arise over
such issues as location of profit and decision making.

Channel member should remember that they depend


on one another for success. Cooperation often depends
on the establishment of a channel captain (Producers,
Wholesalers, and Retailers) who will manage
distribution. Channel strategy’s particularly complex for

global markets, who must contained with such issues


as the possible need for different types of
intermediaries, longer transportation distances, culture
differences influencing the behavior of intermediaries
and inferior infrastructure.

We live in the global economy, where the pace of


change is unbelievable and the demand of customer
are more difficult to meet.

Today’s customers are not satisfied with quality


products only. They demand quality service and
increasing values. Distribution is the management of
the inventory to achieve customer satisfaction. It is not
surprising, therefore, to find distribution in the
limelight. Today many companies are discovering that
distribution
is not a necessary evil but rather the major frontier for
both customer service enhancement and cost
reduction, unfortunately, in many companies the
distribution profession is not prepared to meet the
demanding needs of the customer, the pace of change
or the true integration of distribution function. Today’s
distribution manager often has a strong practical
background in only one area of distribution, typically he
or she does not have a formal education in distribution
and does not have the breathe of experience to handle
the breathe of the profession of distribution.

The challenge confronting many companies therefore


in this they desire to enhance customer satisfaction by
improving distribution, but lacks the knowledge work
force to make this happen. The purpose of this book is
to deal with challenge, to deal with increased
sophistication of distribution, to present the state art of
distribution and define the profession of distribution. It
is the indicator goal that improvement in distribution
performance that will result from applying the material
in this handbook will further devote and promote the
awareness of the promotion of distribution.

The organization of the handbook mirrors of the


editor’s goal and there definition of distribution. The
goal is to elevate the level of experience in distribution
management there definition of distribution.

TODAY’S DISTRIBUTION CHALLENGE


The challenge of enhancing customer satisfaction by
improving the distribution requires the fully integrated
approach to distribution. In many companies today’s,
the function is done in the segregated manner. The
order entry manager, workhouse manager, traffic

manager, data processing, claims manager etc. all


operate independently. All of distribution must work as
one, with each person involves with distribution having
much greater awareness of how the totality of
distribution function.

Given today’s operation of requirements this is not


an easy task. The operation of requirements having the
greatest impact on integrated distribution ability to
enhance customer satisfaction is business
requirements, customer requirements and distribution
requirements. The business requirements reflect the

changing climate within which distribution must


function. Business issues such as the global market
place, the level of the government involvement the
environment and the issue of energy must be
understood as the context within which distribution
function. At the same time the customer requirements
of increased pace, variety and adaptability, while
reducing costs must be understood as a basis for
customer satisfaction. Of course the issues impact the
internal pressures of the distribution requirements to
centralize, utilize third parties, improve information
systems, increase productivity and more fully utilize
people. An overview of these distribution channels is
presented in figure.
DISTRIBUTION NETWORK OF
AMUL

Your federation’s distribution has been strengthened


with addition of 1007 more whole sale dealers, during
the year. GCMMF’S total no. of wholesale dealers now
stands at 3700 extending our to reach to more than
five lack retailers. These statistics, impressive as they
are, do not tell the most important part of the story:
The staunch support, brand loyalty and commitment of
our wholesale dealers and retailers, that makes it
possible, four our products to reach consumers in the
remotest part of our country.

Factory (Ghandhi Nagar, Gujrat)

Zone
Branch Office

Distributor Dealer

Sub Dealer

Amul Icecream does not have any C& F agent


network. It has own branches in India. India is divided
into four zones viz. North, East, south and west. The
best zone is divided into five stock point catering of
their respective branches. The dispatch would be made
to either the five stock points depending on the
location of end point stock point in turn served their
respective city and allotted areas.
Gujarat Cooperative Milk Marketing
Federation

GCMMF: An Overview

Gujarat Cooperative Milk Marketing Federation (GCMMF)


is India's largest food products marketing organisation. It
is a state level apex body of milk cooperatives in Gujarat
which aims to provide remunerative returns to the
farmers and also serve the interest of consumers by
providing quality products which are good value for
money.

Members: 12 district cooperative


milk producers' Union
No. of Producer 2.41 million
Members:
No. of Village 11,615
Societies:
Total Milk handling 7.4 million litres per day
capacity:
Milk collection (Total 2.08 billion litres
- 2004-05):
Milk collection (Daily 5.71 million litres
Average 2004-05):
Milk Drying 511 metric Tons per
Capacity:
Cattlefeed day 2340 Mts per day
manufacturing
Capacity:
Sales
Rs (million) US $ (in million)
Turnover
1994-95 11140 355
1995-96 13790 400
1996-97 15540 450
1997-98 18840 455
1998-99 22192 493
1999-00 22185 493
2000-01 22588 500
2001-02 23365 500
2002-03 27457 575
2003-04 28941 616
2004-05 29225 672

EXPORT SCENERIO

GCMMF is India's largest exporter of Dairy Products. It


has been accorded a "Trading House" status. GCMMF has
received the APEDA Award from Government of India for
Excellence in Dairy Product Exports for the last 9 years.

The major export products are:

Consumer Packs

 Amul Pure Ghee


 Amul Butter
 Amul Shrikhand
 Amul Mithaee Gulabjamun
 Nutramul Brown Beverage
 Amulspray Infant Milk Food
 Amul Cheese
 Amul Malai Paneer
 Amul UHT Milk (Long Life)
 Amul Fresh Cream

Bulk Packs

 Amul Skimmed Milk Powder


 Amul Full Cream Milk Powder

Many of our products are now available in the USA, Gulf


Countries and Singapore.
INFO FLASH:
GCMMF Sales up 20%

The Amul moppets got a taste of India. A fun new


place where there are milks a plenty and no butter
storage in summer. When private dairying is the part of
the game and computers the whole process of brand of
big transactional as well as punks from the small scale
sector and satellite TV, which compresses the whole
process of brand building and makes for a regular flood of
new foods brands. And so along with the rest of the gang
– safal, sugam, dhara Amuls gone in to maximum over
drive
,Seems there is just no stopping them now , as they
launch product after disparate product. “No more being
reactive”. Says V.M. Vyas, Managing Director of GCMMF.
We’re going to be proactive now. The last financial year
saw GCMMF launch ten new products including paneer,
gulab jamun and mozzarella under the umbressa and
ketchup jam and a mango drink under the safal brand. It
is determined to keep up the pace this year, with the
launch of Dahi, emmental cheese and most recently a
soya base dal.
The Amul range of dairy products till dominant
GCMMF’ increasingly diverse portfolio, but chairman
vreghese kurein is determined to leverage its skills for
marketing all kinds of farm produce. Honey and isabgol
were taken up for consideration in the past but letter
dropped because they were not expected to yield the
requisite volumes. Tea and coffee are still under
consideration but and conceptual stage. One product that
made it to the market in sugam shakti developed by
National Dairy Development Board (NDDB) with the noble
objective of providing higher nutrition at lower costs. It is
amix of soya and wheat flour that is meant to substitute
the traditional dal. But foods habits do not change easy
and the federation moving cautiously on the new product,
test marketing it extensively in a few selected cities like
Indore.
The possibilities in agricultural marketing are limit
less but in GCMMF moving too far a field of its core
competencies here.Vyas refuses to be hemmed in by any
sort of marketing myopia. “We market taste and nutrition;
he declared why not we should sell dal or tea”.
Gujrat’s Cooperative milk products unions, for the
movement don’ts seem to mind to mind their federation’s
farays in to un related fields growth in milk procurement
has over aged ten percent over the past five years and
GCMMF kept pace with a value added growth of 18%. But
the milk just keeps coming in order to cope Gujrat’s Milk
unions are now investing Rs.260 crore in creating. Added
capacity for milk powder which is stored for use in down
stream products

The days of shortages are over and for GCMMF


whose raison deter is marketing all the milk produced by
its unions. It is bound to pose a challenge in the coming
years. Today’s amul liquid milk sold in Gujrat and
Maharashtra contributes roughly Rs 400 crore to GCMMF
annual turn over of Rs. 1800 crore, while mature
products like amul butter, ghee and milk powder
together contribute Rs. 900 crore non dairy products like
dhara oil contribute another Rs. 400 crore Amul Ice cream
which is another product with the potential to generate
volumes is yet to reach a three figure turnover and when
it does, it is likely to be through production tie-ups with
dairy cooperative in other part of the country. As for the
high profile cheese category. Vyas says, “The market is
not as big as people think. It is worth around Rs. 50 crore
of which we control 60%”.
In its proactive model, GCMMF is now taking Amul in
to Product hither to considered the reserve of small scale
industry where branding has been minimal. Paneer and
gulab jamun initially test marketed in Gujrat under the
Sugam brand name and have now been launched
nationally under the Amul GCMMF is watching it closely
for future potential.
Says Vyas, “Brand building is a faster process
today’s, thanks to dispersed media option. I can move
from local to National launch very quickly”. Of course, the
logistics of the dairy industry usually mean that products
like dahi and ice cream need to be made and distributed
locally. Explains group products manager Kishore Jhala,
“Distribution is the crux of this business and bad
management here can be disastrous. Brtannia recently
had to call back huge quantity of spoilt cheese spread
because retailer thought the glass bottles din” need
refrigeration. We had a similar problem with amul life.
With barrel cold chains for products requiring
deferent degrees of refrigeration in placed distribution is
one of the Amuls big strength today’s. As is it varied
basked of old & new products, always ready to cross
subsidiaries to each other in the price wars it is famed for
and after twenty five years in the business, it is ready to
plan up on being a home growth brand, once eschewed
as to risky in a market that favored brands. “Our Taste of
India” campaign is not some sort swadeshi ‘We India, Buy
Indian’. Message stresses Vyas, “But since none of our
competitors can convincingly make such a claims, we
though we would make it our USP”.

Bridge the Digital Divide - Innovation at the


Grass Roots

One of the members of GCMMF, the Banas dairy, has


started a unique initiative called the Internet Sewa Project
in their district called Banaskantha. This is a village-level
effort at bridging the Digital Divide by providing
information kiosks at the Village Cooperative level. Each
village has one information kiosk, which is the single point
of contact for Internet and other e-governance activities
for the co-op. Official forms, educational applications and
local market prices are provided at the information kiosk
so that people do not have to travel all the way to the
district headquarters for this information. Go to
http://www.banas.chiraag.com to see an actual site. To
address poor connectivity at some sites, the Banas dairy
uses a wireless connection to the Internet. The wireless
equipment is cheap since there is only a one-time setup
charge and no recurring charges. To improve the farmer
members' living standards and to facilitate affordable
Internet access services, the district union has also
become a local Internet Service Provider (ISP) using these
Village Information Kiosks. Today the services are
subsidised but the goal is for the kiosks to become self-
supporting.
MANAGEMENT AT AMUL

Management Kurien Style: MV Kamath

Four decades ago, the then


president of India, Dr Rajendra
Prasad, laid the foundation stone of
a modern dairy, the dairy of the
Kaira District Cooperative Milk
Producer's Union. The inspiration
for the dairy, which came into
existence after a struggle against
great odds, was provided by Sardar Vallabhbhai Patel and
Morarji Desai. Tribhuvandas Patel, with his dedication and
integrity, was the power behind the farmer's organisation.

Varghese Kurien, then hardly 33, gave the professional


management skills and necessary thrust to the
cooperative. Over the years the cooperative prospered.
Later, Prime Minister Lal Bahadur Shastri was to give
further impetus to the dairy cooperatives by inviting Dr
Kurien to replicate what came to be known as the Anand
Pattern, after the township of Anand, in Gujarat.

The fascinating saga of the success of first AMUL and


then Operation Flood, which was to make India a major
milk
producing country, has been told by M.V. Kamath in all its
complexity. It is an exciting piece of work and a story that
has never been told before, rich in anecdotes and
revelations of how India's White Revolution became
possible.

M.V. KAMATH, 73, a senior columnist and commentator on


a whole range of national and international issues is an
author of over 35 books on diverse subjects such as
journalism, travel, history and culture, biography, politics
and philosophy. Starting his career in journalism, after a
brief stint as a chemist, Kamath has successively worked
as a reporter in the Free Press Journal, editor of Free
Press Bulletin and Bharat Jyoti, Contributing Editor United
Asia and Sunday Editor of The Times of India.

A former president of the Bombay Union of Journalists,


Kamath is a founder-member of the Foreign
Correspondents Association, Washington DC and has
covered every important international gathering between
1953 and 1978. He retired in 1981 as editor of The
Illustrated Weekly of India and currently writes for over a
dozen newspapers and journals. He is actively connected
with a number of social

and public institutions in Bombay and Karnataka and was


recently nominated as member of the Executive Board of
the Manipal Academy of Higher Education.
producing country, has been told by M.V. Kamath in all its
complexity. It is an exciting piece of work and a story that
has never been told before, rich in anecdotes and
revelations of how India's White Revolution became
possible.

The Unfinished Dream: V Kurien

"I consider Verghese Kurien to be


one of the world's great agricultural
leaders of this century. This
collection of his speeches, so aptly
entitled An Unfinished Dream, can
help to light the way for those who
must carry on the battle to ensure
greater food security, prosperity,
and peace to the world. I am
honoured to commend this book to
those future hunger fighters..."

Norman E Borlaug
1970 Nobel Peace Prize Laureate

Dr. Verghese Kurien is the Chairman of India's National


Dairy Development Board, the National Cooperative Dairy

59
Federation of India and the Gujarat Cooperative Milk
Marketing Federation. His professional life has been
dedicated to empowering the Indian farmer through
cooperatives. The architect of India's White Revolution,
"Operation Flood", his work has been recognised by the
award of a Padma Bhushan, the Ramon Magsaysay Prize
for Community Leadership, the Carnegie-Wateler World
Peace Prize, and the World Food Prize.

"We must build on the resources represented by our


young professionals and by our nation's farmers. Without
their involvement, we cannot succeed. With their
involvement, we cannot fail...

Those of us who are of our country's urban elite often fail


to recognise the tremendous resource that our nation's
farmers represent. It is that resource, linked

with the professional manager, that can return India to its


position as a surplus producer...

True development involves building the institutional


capacity to respond to new and diverse challenges; to
adapt, to innovate and to create newer institutional
forms ..."

Verghese Kurien

This book is the story of the pursuit of a dream. A dream


in which regardless of origin, place of birth, occupation, or
of language, each Indian has an equal opportunity to
share in
the nation's blessings, and to contribute to the nation's
progress.

Spanning nearly 40 years from 1955 to 1994, An


Unfinished Dream contains speeches of Dr Verghese
Kurien, Chairman of National Dairy Development Board.
The speeches are rich in their arguments, incisive in their
views and contain anecdotes that illuminate, inspire and
sometimes amuse. They rise above the din of ideology
and partisan rhetoric to provide clear and refreshing
insights on varied subjects - Development, Technology,
Operation Flood, Marketing, and Empowerment of India's
Rural Producers.

An Unfinished Dream has three sections:

A Dream, Defending the Dream, and A Dream Renewed.

Each section, while joined by a theme, draws on the past


and looks towards the future.
MARKETING AMUL ICE CREAM : GUJRAT
TALKS A PACE WITH STATE CO-OPS:

The Gujarat cooperative milk marketing federation if


in advance stage of negotiation with cooperative
federation in other states for manufacturing and
marketing its Amul brand of Amul ice cream all across the
country.
The Rs. 1380 crore co-operative dairy giant is
seeking to workout arrangements with other state co-
operative, where by the letters would manufacture ice
cream under license in their under its Amul brand name.
The GCMMF Director Mr. B. M. Vyas, said, “We are in
task with almost all state federation for establishing a
nation wide decentralized ice cream manufacturing base.
Our idea is to launch Amul ice cram in most states during
the coming summer season itself. ”
According to Mr. Vyas, setting up ice cream
manufacturing facilities in the co-operative existing dairies
would involves making an additional investment hardly
10% in value terms, which is a fraction of the cost of a
green field venture. This is because critical dairy plant
already posses the necessary equipment such as
pasteurizers, high speed centrifuges, cold storage tanks
and refrigerator.
The only fresh investment required are in freezers
and down stream cold came facilities (Transportation
Vans, cold storage facilities at the retail level etc.) but the
most crucial link in the entire manufacturing process is a
liquid availability of the raw material namely liquid
milk, and
here co-operative dairy network holds a tremendous
advantage, with the 180 districts union affiliated to the
different state federation procuring on an average 110
lacks of milk per day. “Ice cream is mare expansion of the
co-operative existing products range, which include
butter, milk powder, baby food and cheese, it is
something that day would have been producing earlier,
but for its being till recently reserve for the small scale
sectors”.
The assistance manager (marketing) of GCMMF Mr.
R.S. Sodhi observed, the GCMMF’s presence in the
countries Rs. 325 crore branded ice cream market is
currently restricted only the western region, where Amul
has captured over 30% 0f sales with in a year of its being
introduce in Gujarat during March 1996. While Amul is
now selling 12000 liters per day out of the total estimated
ice cream sales of 24000 LPD in Gujarat, it is said to have
already grabbed nearly a quarter of the 36000 LPD
Mumbai market ever since it was launch there in January
this year.
“We are targeting 40000 LPD sales for the western
region by the end of this season.” Mr. Sodhi said, he
denied that there would be “Stock out” problem arising
from the fact that there might be precious little

liquid milk left for manufacturing ice cream, after the


requirement for fluid.
Milk, butter, baby food and cheese sales were mat,
“To produce a little of ice cream, one needs only half a
liter of milk. Our requirement would, therefore be around
20000 LPD, which is barely 0.5% of our total dairy liquid
milk procurement”. We added the average milk
procurement by the GCMMF union is expected to touch 38
lacks LPD this fiscal, a 26% increase over the 1995-96
average of 29.80 lacks LPD of the 38 lacks LPD, about
17lacks LPD is being marketed as

fluid milk, with the rest going for manufacture of baby


food, butter, dairy whitener, ghee and now ice cream.
The problems in expanding the Amul presence in the ice
cream segment beyond its so called western, “Pocket
borough” do not lie in raw material availability as much in
logistics. Marketing the products within the western
region is not a problem, since the procurements as well
as production aspect can be handling within Gujarat. But
if the ice cream produce at Anand is to be hauled at sub
zero temperature all the way to Delhi, the transport cost
would amount to an exorbitant Rs. 10 per liter compare to
the average ex- factory price of 55.60 for a liter of Amul
ice cream.

SWOT ANALYSIS
STRENGTHS:

1. Self- sufficiency in case of major inputs i.e. milk.


2. Corporate image
3. Diversified product line and all products are highly
demanded.
4. Dedicated work force.
5. Totally integrated operation.
6. Good for sightedness and long term vision.
7. High degree experience in case of milk procurement
and processing as company is in the field from
nearly free decades.
8. Low capital cost.
9. Large network of distribution.
10. Prices are comparatively.

WEAKNESS:

1. Supply is not regular.


2. Distribution network of Amul ice cream is not
proper.
3. Co-ordination is not proper between retailer and
company.

OPPORTUNITIES:

1. With the liberalization new avenues of exploiting


open market economies are being open up.
2. Being the oldest co-operative it should encase the
goodwill.
3. Must take the advantage of the priority give to the
dairy industries by the Govt. in terms of loans,
subsidiaries to explored new opportunities that are
in the market.

THREATS:
1. With the globalization and liberalization various
global brands are started to peek in.
2. Competition from other co-operative and local
industries present in the market.

AVAILABILITY VS BRAND NAME:

KWALITY-
85%

AMUL-80%

VADILAL-60%

DAIRY FUNN-55%
RESPONSE FROM DISTRIBUTOR VS
BRAND NAME

KWALITY-85%

AMUL-75%

VADILAL-55%

DAIRY FUNN-60%
REPLACEMENT TERM VS BRAND NAME

KWALITY-66%

AMUL-61%

VADILAL-70%
DAIRY FUNN-55%

BRANDS VS LIKING

KWAL
ITY-84%
AMUL-75%

VADILAL-65%

DAIRY FUNN-50%
MARGINE VS BRAND NAME

KWALITY-
75%
AMUL-55%
VADILAL-
65%

DAIRYFUNN-60%
NUMBER OF PEOPLE WHO LIKE THE
ADVERTISING OF DIFFERENT BRANDS

KWALITY-40%
AMUL-40%
VADILAL-15%
DAIRY
FUNN-10%
DIFFERENT PROBLEM ON OUTLET

R
EFRIGERATION-5%

COST HIGH-10%
LACK OF
PRODUCT-35%
N
O PROBLEM-50%
QUALITY OF BRAND STORE VS BRAND
NAME

KWALITY
– 85%
AMUL – 85%

VADILAL – 65%
DAIRY FUNN
– 60%

FINDINGS

Finding of the project are based on the information


obtained from the questionnaire and secondary sources.
Outcome regardind has been arrived upon the basis of
adjustments made in the analysis. This chapter is divided
in to various parts highlighted the outcome questions
asked in the questionnaire.
1. Amul ice-cream distribution pattern is good as
compared to other companies.
2. amul publicity material is available only on
amuls outlets, even in some cases they do not habit in
requisite amounts
3. Amul publicity needs to be improved. Publicity
through print media is quite good, but hoardings,
glow signs, wall painting, etc are need to boost sales.
4. Amul credit period is better than some of its
competitors which is beneficial for dealers.
5. Schemes and margins play an important role
in deciding that on which particular brand product, the
seller would emphasize to influence the buyers
decision.

Although amul ice-cream schemes and margins are


ruled as average but the benefits are reaped mainly by
wholesalers and distributors leaving the retailers at the
lower end of distribution chain unsatisfied.
RECOMMENDATIONS

The survey work releaved that the outlet holder are


never satisfied you give the more they want.

1. Margins play a very important role in pushing the


product to the end customer as the retailer takes the
interest in those product in which he gets a better
margin. So the company while setting their prices of the
icecream should set such margins for the retailers which
can motivate him to push their product to the end
consumers.

2. to stop the supply of the duplicate brand, the


company should initiate a system of recollecting their
containers from the market just like bottles of the cold
drinks. To make this effective , the company should fix
some amount which one gets when you return the
container to retailer and in turn , retailer commission
should also be fixed when he returns them to the
company.

3. Circulars from the company are not issued in proper


time regarding the different schemes floated in the
market. For e.g. my distributor had not received any
circular regarding ‘Fro stick’ scheme,” one peace extra
with every pack”.

4. As far as the goodwill of the distributor concerned,


the response of the retailer satisfaction. But it could be
further improved. I suggest the enthusiastic force of
sales man that they are lacking.

5. One of the basic problem faced by the retailers that


is the rate printed on the rate list are different from the
printed on the product. These create a felling
unsatisfaction and customer feel betrayed.

6. As market is basically retailer oriented, I suggest


company should start annual or bi-annual target
schemes for retailers. The retailer margin should be
improved so as to motivate him.

7. Packaging Chock bar was earlier done in cartoon


package that is preferred to the present packaging. The
new packaging has resulting in damages. So I suggest
cartoon packaging for chock bar and for stale.
8. The retailer should made aware and should be
guided by the company for the stock management.

9. The publicity in the local level should be increased by


means of shutter painting, wall painting, glow signs,
hoardings especially in Dadri and Surajpur.

10. The glow signs should not be provided free of


cost by the company, but they should be installed by the
company itself as and when directed by the dealers.
11. The company must insure that the product
literature is reaching the retailers in sufficient amount
and made available to the customer.

12. Company can increase its sales by collecting


the references from the consumers, i.e., by having the
feedback and then send the product by direct approach.

13. New dealers should be appointed in the areas


like Surajpur to strengthen the distribution network of
the company.

14. The advertisement in the local newspapers


should include the name and address of the dealers
shop respective cities.

BIBLIOGRAPHY

1. Internet www. Amul.com

2. Marketing Management Philip Kotler


3. Distribution Management James
Tompkins

4. The Hindustan Times (News Paper)

CONCLUSION

1. Amul is successfully moving towards a great


height. Amul is very popular brand among
consumers in and around Noida; my survey
project confirmed the popularity of Amul ice-
cream
.
2. According to my survey, Amul enjoys most
popularity between the age group of 6-30.

3. Of all the population, Amul was not popular


among students than other profession. Of all
profession 28.75% students preferred Amul.

4. Amul is no more a Ice cream for not but it has


become a necessity for the Indians, like either
in winter or summer. The schemes and
discounts are availed on this pack time to time
by campaigns, lucky draws, home delivery,
etc.

5. Though being a leader, it is sufficient for Amul


ice cream to mark up its profit and sales in the
market.

QUESTIONNAIRE
1. Name of the City(Town) :
2. Name of the Retailer :

3. Address :

4. Total distance (in Kms) from City :

5. Total population of the Town :

6. What all are the other brands available in your outlet ?

1) Kwality 2) Vadilal

3) Mother Dairy 4) Amul

7. Is Amul Ice cream available in your outlet ?

1) Yes 2) No

8. Are you interested in Amul Ice cream ?

1) Yes 2) No

9.What is the total sale of Amul in your outlet (per annum) ?


Approximate

10. What is the total sale of other brands in your outlet (per annum)
?

1) Below 2000

2) 2000 – 5000

3) 5000 – 8000
4) any other

11. Do you have proper stock of Amul Icecream ?

1) Yes 2) No

12. Are you satisfied with the supply of the Amul Ice cream ?

1) Yes 2) No
13. Are you satisfied with the sales of Amul Ice cream ?

1) Yes 2) No

14. If not then why ?

# Quality is not

good # Poor

Packaging

# Refrigeration Problem

# Cost is high

# Amul distribution is not good

15. Which brands of the ice cream has high demand in your outlet ?

1) Amul 2) Kwality

3) Vadilal 4) Mothers dairy

16. What is the reason of the high demand of any brand (Amul)

? # Price is low

# Attractive packaging

# Quality is good

# High margin

# T.V. Advertisements

17. How important are the following to you , please rank them
accordingly( 1 to 5 ) ?

# Margin

# Availability

# Replacement

# Response from distributors

# Good Quality

You might also like

pFad - Phonifier reborn

Pfad - The Proxy pFad of © 2024 Garber Painting. All rights reserved.

Note: This service is not intended for secure transactions such as banking, social media, email, or purchasing. Use at your own risk. We assume no liability whatsoever for broken pages.


Alternative Proxies:

Alternative Proxy

pFad Proxy

pFad v3 Proxy

pFad v4 Proxy